I’m curious about the economics–why do bars do happy hours? Do they make more money because they attract more patrons, or less because they are selling beer cheaply? If they make more money that way, why not have happy hour all the time? If they make less, then why do it at all–is it to promote the goodwill of customers? Or do a lot of patrons stay on afterwards and buy normal priced drinks?
Please only answer if you’ve owned or worked at a bar and actually know how it works.

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